Alberto-Culver
This article was originally published in The Rose Sheet
Executive Summary
Nexxus and Tresemme fueled a 9.2% increase in global consumer products sales to $360 mil. during the third quarter (ended June 30), and earnings before income taxes for the unit advanced 9.2% to $32.6 mil., Alberto announces July 27. The beauty supply business, which includes Sally Beauty and Beauty Systems Group, had sales of $599.5 mil., representing growth of 4%, while earnings before income taxes for the division were up 8.6% to $65.5 mil. Alberto's net sales in Q3 increased 6% to $952.7 mil. Due to a $50 mil. termination fee associated with the failed merger of Alberto's beauty supply business with Regis Corporation, Alberto's net earnings plummeted 42.9% to $30.5 mil., including non-core items. Alberto recently announced it will spin off Sally as a separate entity in a transaction expected to close in December (1"The Rose Sheet" June 26, 2006, p. 3)...